A couple big developments occurred recently at Broco that you should know about. First they started a program called AutoTrader which allows you to use any number of 70 different EAs on their server which all have real time track records established with Broco. If you would like to demo the service copy this link into your address bar http://www.brocompany.com/brokerage-services/open-demo-account/auto-trader/?br=12364

Additionally CQG is online and Ninja Trader will be available next month if you like to trade commodities, indexes, options or spreads. The minimum for those two exchange direct platforms is $10,000.

Also they are now accepting many different electronic payment systems and will be offering 2 free bank withdrawals per month to all clients.

Hello all,

Market participants have continued to make the correct conclusions and discount the Euro and lift the price of gold since last month when I wrote to you last. The fact facing process has allowed Yen to appreciate and the U.S. dollar to do so as well in light of the failure of the Euro Zone’s economies. Although the biggest banks still hold huge short positions in gold and silver my thinking is that they cannot keep the prices from rising forever, in light of the failure of Keynesian economics. There is too much upward pressure on the metals due to physical demand and speculative trading on the markets to stem the tide. As investors and sovereign nations flee from one fiat currency to another realizing the futility of such “flights to safety” and start stockpiling currency whose supply cannot be artificially increased the rise in valuations of precious metals is inevitable. If you are not working with a broker who allows you to trade them contact us so we can position you to profit from the biggest bull market in history, as the world shifts back to commodity currency.

Of course the specter of the SDR also looms large and this will indeed be a battle royale between the Keynesian camp and the Austrians on a global scale. The G20 is currently meeting and no doubt seek to increase the power of the world bank and IMF which have been involved in so many shameful big spending, big profit projects for contractors to countries who don’t need them over the years meanwhile saddling the afflicted nations with insurmountable crushing debts. So basically the IMF plan is to take the same failed model of monetary policy global to remedy the disasters created by it on the national level. This would allow the UN (which the IMF and World Bank were created under) to feed equip and train it’s own army, and create the massive global government bureaucracy internationalists have dreamed of for years. In other words the same methods used to create the leviathan governments in the US, Euro Zone and other nations would be applied globally with some bankers making interest on the debt of course.

It could very well be the plan of the big banks to keep metals weak long enough for this transition to take place at which time they could “fix” the price of gold and silver to the SDR. Certainly they are astute enough to know that they can’t fight the trend forever, no matter how much funny money the Fed Reserve gives them at no interest. Make no mistake if the SDR emerges as the new global currency then currency trading as it’s now known will cease. As will any individual rights you might still enjoy as we all become subjects of global government. I urge all of you wherever you live to contact your governments and ask them to reject calls for the SDR world currency and return to the fiscal sanity afforded in precious metal currency as the solution to the worldwide fiat financial crisis.

Hello all I hope you were able to capitalize on the dropping Euro or some other pair yesterday. That was really a gift, so far this morning we see a lot of volatility as well and there is a good likelihood of more huge moves today. Especially once the market knows what the payroll report comes out as. I don’t buy the story that someone sold the wrong amount of stock yesterday. More likely the markets were reacting to the pending financial reform bill, the Greece situation and the “unsustainable” socialism in the Euro zone. BE prepared to buy more gold and short Euro again today.

In response to the Dodd “Financial Reform” bill, which started out as the Paulson plan and has undergone a face lift please read the following.

With Congress spending TRILLIONS of taxpayer dollars and the Federal Reserve literally creating money out of thin air, it’s never been more important you and I force your senators to support Audit the Fed and oppose Senator Chris Dodd’s “Fed Empowerment” Bill.

Senator Dodd’s “Fed Empowerment Bill” eliminates Ron Paul’s Audit the Fed legislation and expands the Fed policies that wrecked our economy.

Demand your senators stand for sound money and against empowering an already out of control Federal Reserve by supporting Audit the Fed and by opposing Senator Dodd’s “Fed Empowerment” Bill.

Call your senators and insist they support Ron Paul’s Audit the Fed Bill and demand they oppose empowering the Fed.

Tell your senators to kill the Dodd Bill, not make “insider” fixes.

Sign our petition below and send a message to your senators that you will not tolerate empowering the Fed to plunder our dollar and loot our Treasury by being allowed to operate in secret and continuing the bailouts forever.

http://www.chooseliberty.org/auditfed_us.aspx?pid=ntl1

For those who know me, I have been recommending buying gold XAU/USD or GC after it cracked $1,000 and dropped back to $800. I still think it’s going to be the biggest bull market in history going forward, especially as bankrupt countries like the U.S. spend more money they don’t have through the Federal Reserve who enables them and Wall Street to “get drunk” as “W” put it. While it’s highly likely that the Fed’s will move to outlaw owning physical gold like Roosevelt did in the 30’s, we can still fight inflation by “owning” gold indirectly in the market. It only makes sense that as the economic situation worsens that more people will stockpile physical gold driving up demand and as a consequence the price per ounce will rise even further.

Until the day comes when the dollar is fixed to gold at some astronomical level in the future, it’s a great way to protect yourself and make many times more money than you could by buying the physical metal at no leverage. The trick is not taking a position you can’t afford to hold long term in your trading account to handle the high volatility. Of course I am not against buying the dips in this market either and dumping it intraday if that’s your style but Ideally you should also have a position you are sitting on for long term growth and to guard against inflation. We can’t be naive enough to trust government inflation numbers whose calculation has continually changed to make for more politically acceptable levels. If you buy XAU/USD that is gold on the spot there is no expiration or delivery date so you can literally hold the trade for years if you wish.

If you are currently working with a broker which does not offer this, please contact me so I can set you up with a broker who will offer it for you and also give you very high leverage so that it takes minimal margin to hold the position. This way you can continue running your currency trading system will minimal effect on your available margin.

The economic situation we face today caused by the actions of the Federal Reserve and the government can be compared to the situation a drunk and his co-dependents face when he starts to sober up and realizes what a mess he has made of his life. The Fed, our government and the drunk can either decide to face the facts and realize the pain or continue to imbibe and completely destroy ourselves.

So far the fed and the government have opted to continue drinking, much to the detriment of those who are codependent to them. We are told that the consequences of not continuing the destructive behavior (deficit spending, debt monetizing)  would be unbearable, the pain to severe to contemplate much less deal with. That in fact those actions will solve the problems we face instead of make them worse. Just like the drunk will deny he has a problem or say that he cannot stop drinking because it would force him to experience emotional and physical pain he doesn’t want to contemplate much less deal with.

Well I am sure we all know someone who refused to face facts and drank or drugged themselves to death or incapacitation. Now our “leaders” elected or otherwise instead of admitting that the economy has become unmanageable and that they are powerless over their addiction to money creation, spending and economic engineering are going on a binge even worse than before. Their addiction is progressive much like alcoholism, as even some “progressives” are starting to admit. The end result of which will be either the death or incapacitation of our nation, which the historical record has shown to befall all democracies due to loose fiscal policy and drunks who don’t put down the bottle.

The Federal Reserve and government must admit a power greater than themselves can restore us to sanity, the U.S. Constitution. After such realization the fed & government must turn their will and lives over to the Constitution as they understand it. At which point they must make take an inventory of themselves. Admitting to God, themselves and the American people the exact nature of their wrongs. After which they must be entirely ready to have the Constitution remove their defective policy. Humbling themselves, them must ask the American people, other nations and free markets to remove their shortcomings. By selling federal land and equipment not necessary to the defense of the nation and dividing the governments gold stock by all the dollars in circulation to stabilize the dollar.

Once steps 1-7 are finished, the government (the Federal Reserve no longer exists) needs to make a list of all those nations, organizations and individuals they have harmed and make direct amends to them whenever possible except when doing so would hurt them or others.  Going forward the federal government will continue to take inventory and when wrong promptly admit it. Through listening to constituents and meditating on the Constitution improve their conscious contact with the Constitution, praying only for the knowledge to follow the will of the framers.

Finally, having a political awakening as a result of these steps, our country would carry this message to the hopeless governments and banks of other countries, practicing these principals in all our affairs.

Will this be painful? Of course it will, is it necessary? Absolutely, the only alternative is the complete subjugation of our country to worldwide government since we are incapacitated or the death of our nation, resulting in anarchy which is always followed by dictatorship. Much as the drunk either ends up with wet brain or dead from drink.

How do I figure this? Well consider that our money supply was doubled in a few short months at the end of 2008. Consider the rally in the stock market is purely inflationary, has failed the 50% retracement and that much like the suckers rally before the great depression will lead to a bigger crash than before. Consider that the government and the fed’s response will be to create more money out of nothing, and the government spending it into circulation for bailouts, warfare and welfare will lead to hyperinflation and even more widespread poverty and unrest.

Their “solution” is like picking up another drink to kill the pain of being a drunk, it can only end badly.